08/09/2013 03:50 EDT | Updated 10/09/2013 05:12 EDT

Quebec court dismisses N.L. Hydro's review request

Quebec Superior Court has ruled against Newfoundland and Labrador Hydro's request for a judicial review of a decision made by Quebec's energy regulator regarding Hydro's 2006 request to move Lower Churchill energy through Quebec.

In 2006, Newfoundland and Labrador Hydro asked Hydro-Québec TransÉnergie to move Lower Churchill power on Hydro-Québec’s transmission grid.

N.L. Hydro had hoped to wheel power from the Lower Churchill through Quebec to U.S. and Canadian markets but its request was turned down by Hydro-Québec TransÉnergie.

Newfoundland complained to Regie de l'energie du Québec, but the province's energy regulator ruled Hydro-Québec TransÉnergie had done nothing wrong.

N.L. Hydro then asked the Quebec Superior Court to review the decision, claiming the Regie's decision contained significant errors of law.

Now that the Quebec court has dismissed that request, N.L. Hydro says the court's decision doesn't affect the Muskrat Falls Hydroelectric project's plans.

"Hydro's request for a judicial review does not affect the Muskrat Falls development and is not related to the ongoing motions before the Quebec Superior Court between Hydro-Québec and Churchill Falls (Labrador) Corporation," says a Newfoundland and Labrador Hydro release Aug. 9.

Hydro says it is reviewing the decision and will not provide further comment at this time.

It now plans to use a subsea link to the Maritimes to move Lower Churchill energy out of the province.